The new regulator of consumer financial products would be housedin the Federal Reserve and would have the ability to write rules,but most of enforcement would be done by the safety and soundnessregulator, according to media reports of a bill to be unveiledtoday by Senate Banking Committee Chairman Christopher Dodd(D-Conn.).

The bill would give regulators, such as the NCUA, the power toenforce regulations though the consumer regulator could participatein an examination of a financial institution if it were concernedabout a financial institution's practices.

The bill would also create a council of regulators that could bya two-thirds vote overrule a proposed regulation by the consumerregulator.